Topics:
Bob Shenberger - Markets Trends
Ken Yamasakii - BPI and RSI
What does it mean if Gary Cohen leave the whitehouse? /ES futures down 36 handles in premarket!!!!!
Cherry Picks Newsletters:
Tasty Trade Research publish this awesome weekly newsletter every Tuesday. If this blog sounds like gibberish, watch "Where do I start 101" free education series on Tastytrade.
https://s3.amazonaws.com/cherry-picks-s3-bucket-newsletter/live/18_03_06_tastytrade_Research.pdf?mc_cid=4f2e83c8ea&mc_eid=e9e24bad07
https://www.tastytrade.com/tt/shows/wdis-options-101/episodes/brittanys-story-01-03-2017High Volatility!: VIX > 18, What a wild ride for the markets over the last week. Watch Doc Severson’s video below to get a clue the markets next move. The VIX is remaining above 18 indicating market choppiness until further notice. Only the RUT is exhibiting a potential upside breakout, but that is not confirmed by SPX, DJI or QQQ. Selling Puts, Jade Lizards, Ratio Spreads and Butterflies are still working. Use this opportunity to rehedge your positions: Risk Twist Spreads for the Quarterly Hedge, Dr Ted Nukes SPX Put Ratio for a 3 week hedge and 2v4 Week RUT calendar for 6-10 day hedge. .
E-currencies vs US Dollar: Bitcoin is still range bound between $9,000 and $12,000. This is a traders environment, where you can buy a small positions and take profits quickly. Kimberly Sharpe has been doing a great job doing these short term bitcoin and litecoin trades. CNBC did a great segment on what a good Crypto currency portfolio should include. Link is below. Are you mining cryptos in private wallets yet? The US Dollar is range bound between 88 and 90.5. Will we see inflation in the US this year?
https://www.coinbase.com/charts?locale=en-US
https://www.cnbc.com/2018/03/01/how-to-build-a-portfolio-of-digital-currencies-crypto-fund-manager.htmlFed Reserve Impact - Fed Chair Powell is scary to the market! Consider a short term hedge anytime he testifies for the next year. There is a definite rate hike coming this month and Powell should give a speech afterwards. My plan is to hedge to cover any downside risk. Why is the Fed Balance Sheet getting larger while they are normalizing monetary policy (ie. reducing Quantitative Easing)? With higher interest rates on the $4.4+ Trillion, how much money with the Fed make in 2018? Check out their quarterly reports using this link.
https://www.federalreserve.gov/monetarypolicy/quarterly-balance-sheet-developments-report.htmTRADE Log: VIX > 15 High High Volatility Trades are back
- Long GOLD, BITCOIN
- Jade Lizards, Broken Wing Butterfly, Dynamic Iron Condors
- Sell Puts
- Risk Twist Hedges
Videos:
Doc Severson - Theotrade: How to Spot the Markets Next Move
https://www.tastytrade.com/tt/shows/mike-and-his-whiteboard/episodes/trade-checklist-short-put-04-11-2016
https://www.tastytrade.com/tt/shows/trade-managers/episodes/short-put-management-01-02-2018